Private equity firm Carlyle Group LP has agreed to buy a 30 percent stake in Spanish oil and gas company Cepsa from an Abu Dhabi sovereign wealth fund in a $3.6 billion deal including debt, the Financial Times reported on Sunday, citing people with knowledge of the transaction.
The sale gives the business a total enterprise value of $12 billion, roughly the same price tag that Cepsa’s owner Abu Dhabi wealth fund Mubadala Investment Company sought ahead of a failed attempt at a stock market listing last year, the FT said.
Carlyle will have at least two board seats, and Musabbeh Al Kaabi, a senior executive at Mubadala, will remain as chairman, the newspaper said, citing sources.
As part of the agreement, Carlyle reserves the right to buy up to 40 percent of Cepsa, which is one of the largest privately-owned oil companies in Europe and has been under Mubadala ownership for the last three decades, the FT said.
Carlyle, Cepsa and Mubadala could not be immediately reached for a comment.
By Rama Venkat
During a European Industry Summit held on the site of BASF in Antwerp, leaders from basic industry sectors, representing 7.8 million workers in Europe, joined forces with European trade unions and European leaders to address pressing concerns regarding Europe’s industrial landscape.
The use of blue or low-carbon hydrogen, made from natural gas with carbon capture and storage (CCS), could increase near-term global warming by 50% compared with burning fossil fuels directly for energy if emissions are not properly managed, according to a new study by NGO the US Environmental Defense Fund (EDF) and the University of Arizona.
In a move to improve the supply of renewable hydrogen and thus reduce dependence on natural gas and contribute to achieving the objectives of the European Green Deal and the REPowerEU plan, the EU Commission has approved a third Important project of common European interest (IPCEI) to support hydrogen infrastructure.